Huobi’s Thai subsidiary will end operations on July 1 after the Securities and Exchange Commission (SEC) of Thailand revoked its operating license.
The Securities and Exchange Commission of Thailand revoked Huobi’s license in May for failing to comply with local regulations. The permanent closure order comes nearly eight months after regulators suspended the exchange’s services in September.
Huobi Thailand is based on the original Huobi Cloud Thailand project built by Huobi Cloud and its local partner GLT, Huobi Cloud, and only provides technical product support and brand authorization.
At present, the brand authorization and technical service contract with Huobi Thailand has expired, and Huobi Cloud will no longer provide support for this project in the future.
The exchange claims it has tried to resolve regulatory issues but will have to cease operations due to the SEC order.
“Due to the SEC decision, Huobi Thailand is no longer an authorized digital asset exchange in Thailand. We will permanently shut down the platform on July 1, 2022.”
Official statement from the Securities and Exchange Commission of Thailand disclose The cryptocurrency exchange was first warned in March last year that its systems were inadequate. The cryptocurrency exchange also received multiple extensions to fix its trading systems, customer asset retention systems, and information technology systems, but despite multiple extensions and assurances, the cryptocurrency exchange failed to comply with SEC regulations.
Therefore, after a thorough review of a series of violations, the regulator decided to permanently revoke the digital asset operating license on May 17, 2022.
“According to the SEC’s recommendation, the Secretary of the Treasury believes that Huobi still violates and fails to comply with the conditions of the SEC’s order. Revocation of the Huobi Digital Token Trading Center’s license for operating digital assets, effective May 17, 2022. “
The cryptocurrency exchange has posted a notice on its official Thailand platform website reminding customers to withdraw funds and leaving a refund address for contact in case users fail to withdraw funds before it is permanently closed.
Huobi did not respond to Cointelegraph’s request for comment by press time.
Thailand Considered One of Asia’s Progressive Crypto Countries Trader duty free And the regulated environment for crypto exchanges.However, many cryptocurrency exchanges, including Binance, have Facing issues with regulatory guidelines In the past.
In early March, Thailand’s SEC banned cryptocurrencies as a means of payment and announced that cryptocurrency exchanges must disclose their system failures to ensure user protection.